Nikola Corp (NASDAQ:NKLA) shares jumped on Friday after the electric vehicle company experienced its busiest trading day ever on Thursday.
The surge came after the firm announced two significant deals for its hydrogen fuel cell vehicles.
Firstly, BayoTech, a small-scale hydrogen producer, entered into a supply agreement with Nikola's HYLA division, which focuses on hydrogen distribution and dispensing solutions for commercial trucking. BayoTech committed to purchasing up to 50 Nikola Class 8 hydrogen fuel cell trucks over the next five years, with initial deliveries of 12 trucks scheduled for 2023 and 2024.
The stock skyrocketed by nearly 61% on Thursday, reaching a more than four-month high, and continued its rise on Friday by another 10%.
A record-breaking 317 million shares traded on Thursday as short sellers rushed to cover their bearish positions due to the stock's price increase, according to Reuters.
As part of the HYLA partnership, Nikola will also acquire up to 10 of BayoTech's HyFill hydrogen transport trailers, which are crucial for distributing high-pressure hydrogen from production sites to refueling stations.
Also this week, Nikola supplier Bosch announced during its Tech Day 2023 in Stuttgart that it would commence volume production of fuel-cell power modules. Nikola will serve as Bosch's pilot customer, utilizing the Bosch fuel cells in its Class 8 trucks, with the first customer deliveries commencing in 3Q in North America.
Earlier this month, Nikola reported a sequential rise in EV sales in the second quarter, providing a positive outlook for the startup.
Contact Angela at angela@proactiveinvestors.com
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